a) Mr Ali and Mr Y intend to form a business entity in Malaysia. They are

undecided whether to set up a company or a partnership. Mr Ali want the

business entity have a limited liability wherein Mr Y want a simple and easy

manage business entity.

Differentiate THREE (3) legal differences between a company and a partnership

and propose a suitable form of business entity to meet their requirement. (10 marks)

b) A partner is an agent to the other partner and they are jointly liable in a civil case.

(i) Discuss TWO (2) circumstances when a partner is jointly liable for the act

done by the other partner. (3 marks)

(ii) Explain a liability of a partner with regards criminal cases together with

case law and illustration. (3 marks)

c) Aiman and Fariz are partners in A&H Book Store which having business in

supplying books to schools. They employed Raju to manage the business in Johor

Bahru for a salary of RM4, 000-00 per month and the commission of 5 percent out

of the partnership profit every year. Furthermore, Aiman decided to change the

partnership business into laundry business without Fariz's consent.

(i) Discuss whether Raju is a partner to the partnership. (3 marks)

(ii) Discuss the validity of the partnership of the laundry business. (3 marks)

d) Mr. Z is the Managing Director of ABC Engineering Sdn. Bhd (the company). He

bought a semi-detached house (the house) owned by Mr. Ahmad who is also one

of the ABC Engineering Sdn. Bhd.'s contractor in one of the company's

development projects (the project). Mr. Ahmad sold the house which was valued

RM6 Million for the price of RM3 Million only. Mr. Ahmad also requested Mr. Z

to secure a letter of intent of the said project and also as an inducement to assist

the approval and speed up the progress development payment.

Mr. Z was charged for bribery under the Malaysian Anti-Corruption Commission

Act 2009. He raised the defence that there was no offence on the sale and purchase

of the house.

Analyze this case with reference to the relevant act. (7 marks)